Royal Oak official cleared of ethics violation; new probe launched

ROYAL OAK ó City Commissioner Jim Rasorís plan to run a paid parking station during Arts, Beats & Eats didnít violate the ethics ordinance or create a conflict of interest.

However, Rasor should have checked to see if City Hall, which relies on the $10-$15 parking fees to pay festival expenses, was interested once again in leasing the lot at the former Fresard car dealership.

Thatís the crux of a legal opinion released Tuesday.

The City Commission voted Monday to waive its attorney-client privilege regarding the six-page opinion from outside legal counselor William B. Hampton, a former Oakland County Circuit Court judge the city hired to look into the alleged ethics violation.

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Rasor, who never followed through with his parking station plan, said he was relieved to be cleared of any wrong doing. However, within minutes of the vote to release the opinion that cost taxpayers $3,000, he became the subject of another investigation.

City Commissioner David Poulton asked City Attorney David Gillam to determine if it is a conflict of interest for Rasor, an attorney, to represent a Royal Oak taxpayer who owes more than $311,000 in back taxes. The issue was raised by resident Geof Vasquez in an email sent Saturday to elected officials and Hampton.

Vasquez contends an elected official should represent the city in a matter as critical as tax revenue.

ďI believe this is a significant ethical violation and conflict of interest and formally request an additional ethics investigation of this wayward commissioner,Ē Vasquez says in the email.

Rasor said his political enemies are trying to discredit him and Poulton is helping.

ďMy colleague actually scooped something off the floor, which is slime, which is unsupported, which has no factual basis, to raise this slime, this defamation, this slander to the level of the commission table,Ē Rasor said. ďItís a partisan attack. Itís wrong. Itís slimy and itís unappreciated.Ē

Poulton said the email caused him concern and raised questions about two votes Rasor made that are related to the delinquent taxpayer, Murray Investments, LLC.

ďHe represented the client who owes back taxes. Thereís that issue,Ē Poulton said. ďAnd thereís an issue as to whether he represented the client when he voted on two items Ė one a parking variance on Catalpa and the other having to do with the Fresard parking lot Ė as a city commissioner. Instead of having an ethics cloud hang over the commission, weíll have the city attorney look into it.Ē

When it comes to back taxes, Royal Oak transfers delinquent bills to Oakland County. The county gives Royal Oak the amount owed and takes on the responsibility to collect the money from the taxpayer. If the county canít collect the full amount because there was an error or a lower amount is negotiated, it deducts the difference in future payments to the city.

Murray Invesments LLC owes a total of $311,631 in property taxes for 423 N. Main. It is one of the delinquent tax parcels subject to foreclosure on Feb. 13, 2013.

As for the parking station across the street, Rasor never submitted a final application that met city requirements for the 214-space lot at 400 N. Main.

Otherwise, Hampton said in his opinion that it may have been different.

ďWhether it was because of the anonymous letter, or whether it was because of other reasons unknown to the undersigned, Commissioner Rasor did not proceed to perfect his application, which, had he done so to the exclusion of the cityís opportunity to enter into a new lease with 400 Main LLC, would have constituted an ethics violation and/or conflict of interest,Ē Hamptonís opinion says.

The parking station probe was prompted by an anonymous letter, which alerted elected officials to Rasorís application. Commissioners then called a special meeting and approved the independent investigation.

When Rasor didnít follow up with a revised parking request, the city was able to lease the parking lot and charge $15 for each car parked there.